Scenario III

Trust Fund Receipts Available for Investment but not Obligation

III - 1 June 2001

Scenario III illustrates the accounting and reporting procedures for trust fund receipts available for 

investment, but not immediately available for obligation. Examples include receipts collected in one 

year that are not available for obligation until the following year, or receipts only available for obligation 

subject to an annual appropriation act. In both cases, the amounts are available for investment, and 

therefore the unobligated balances should be reflected on the USSGL 2108. OMB, however, classifies 

these receipts as unavailable, or unappropriated, and requires the amounts to be excluded from the SF 

133 until the required conditions are met. An example would be the Aquatic Resources Trust Fund.

As indicated in Treasury's FAST Book, most Federal trust funds are designated as available, indicating 

that receipts collected are immediately available for investment. Therefore, in Treasury's central 

accounting system, when receipts are deposited into an available trust fund receipt account, they are 

automatically credited to the corresponding expenditure account, with no further action required by 

Congress. Once in the expenditure account, the funds may be invested, based upon terms stipulated in 

legislation or a trust agreement. Regardless of whether a trust fund is designated as available in 

Treasury's system, the receipts of that trust fund may or may not be available to the agency for 

obligation. Obligational authority is also determined in the legislation governing the trust fund. If a 

fund symbol is available for both investment and obligation, then follow accounting guidance illustrated 

in Scenario I, Basic Trust Fund Accounting. However, if a fund symbol is designated as available for 

investment but not available for obligation, then observe the guidance provided in Scenario III.

This scenario illustrates the use of USSGL account 4394 Receipts Not Available for Obligation Upon 

Collection. This account was established to provide the mechanism for properly including balances on 

the USSGL 2108 and excluding balances on the SF 133. Since there are more special funds than trust 

funds that employ this type of activity, a more detailed scenario was developed by the USSGL Special 

Fund Subcommittee, in conjunction with the USSGL Trust Fund Subcommittee. For additional 

background and presentation of this USSGL account, visit the USSGL Web site.
Scenario III

Trust Fund Receipts Available for Investment but not Obligation

III - 2 June 2001

Year 1

1. To record the collection of excise taxes from the public into an available trust fund receipt 

account. Because the trust fund is designated as available, the receipts are automatically 

credited to the corresponding expenditure account, so that they may be invested.1 Assume 

that the legislation for this trust fund states that receipts are not available for obligation 

until the next fiscal year. (TC A188)

Budgetary

4114 Appropriated Trust or Special Fund Receipts 10,000

4394 Receipts Not Available for Obligation Upon Collection 10,000

Proprietary

1010 Fund Balance With Treasury 10,000

5800 Tax Revenue Collected 10,000

2. The receipts are immediately invested in a U.S. Treasury Security issued by the Bureau of 

the Fiscal Service. The security has a par value of $10,000 and was purchased at a discount 

of $2,000.2

 (TC B128)

Budgetary

None

Proprietary

1610 Investments in U.S. Treasury Securities Issued

by Fiscal Service 10,000

1611 Discount on U.S. Treasury Securities Issued

by Fiscal Service 2,000

1010 Fund Balance With Treasury 8,000

 

1 The transactions in this scenario combine the activity of the receipt and expenditure accounts into one. The receiptexpenditure account relationship is described in more detail in the Introduction of the Guide.

2 This is a basic transaction to illustrate that the receipts collected are immediately invested. Investment transactions are kept 

to a minimum in this scenario in order to focus attention on the accounting for receipts that are available for investment but 

not obligation. Refer to Scenario IV, Trust Fund Investments, as well as Section III - Accounting Transactions of TFM S2-

01-02 (as updated) for more detailed guidance on trust fund investments.
Scenario III

Trust Fund Receipts Available for Investment but not Obligation

III - 3 June 2001

Year 1

3. To record interest receivable on the Treasury security. This is not a budgetary resource 

until collected. (TC C215)

Budgetary

None

Proprietary

1340 Interest Receivable 1,000

5310 Interest Revenue 1,000

4. To record the amortization of the discount on the Treasury security. (TC D510)

Budgetary

None

Proprietary

1613 Amortization of Discount and Premium on U.S. Treasury Securities

Issued by Fiscal Service 500

5310 Interest Revenue 500
Scenario III

Trust Fund Receipts Available for Investment but not Obligation

III - 4 June 2001

Year 1

Budgetary Pre-Closing Adjusted Trial Balance (FACTS II ATB):

4114 10,000

4394 10,000

10,000 10,000

Budgetary Closing Entry:

C1. To record the consolidation of actual net-funded resources. (TC F204)

4201 Total Actual Resources - Collected 10,000

4114 Appropriated Trust or Special Fund Receipts 10,000

Budgetary Post-closing Trial Balance:

4201 10,000

4394 10,000

10,000 10,000
Scenario III

Trust Fund Receipts Available for Investment but not Obligation

III - 5 June 2001

Year 1

Proprietary Pre-Closing Trial Balance (FACTS I Trial Balance):

1010 2,000

1340 1,000

1610 10,000

1611 2,000

1613 500

5310 1,500

5800 10,000

13,500 13,500

Proprietary Closing Entry:

C1. To record the closing of revenues to cumulative results of operations. (TC F228)

5310 Interest Revenue 1,500

5800 Tax Revenue Collected 10,000

3310 Cumulative Results of Operations 11,500

Proprietary Post-Closing Trial Balance:

1010 2,000

1340 1,000

1610 10,000

1611 2,000

1613 500

3310 11,500

13,500 13,500
Scenario III

Trust Fund Receipts Available for Investment but not Obligation

III - 6 June 2001

Year 1

SF 133: Report on Budget Execution and Budgetary Resources (Quarter 4):

1A Appropriations (4114E) 10,000

 (4394E-B) (10,000)

2A Unobligated Balance Brought Forward 0

7 Total Budgetary Resources 0

11 Total Status of Budgetary Resources 0

USSGL 2108: Year-end Closing Statement:

Column 5 Post-Closing Unexpended Balance (1010E) 2,000

Column 6 Other Authorizations (1610E) 10,000

 1611E (2,000)

Column 11 Unobligated Balance (4394E) 10,000
Scenario III

Trust Fund Receipts Available for Investment but not Obligation

III - 7 June 2001

Year 1

Program and Financing Schedule (P&F):

Obligations by Program Activity

1000 Total new obligations 0

Budgetary Resources Available for Obligation

2140 Unobligated balance available, start of year 0

2200 New budget authority(gross) (sum 4000 to 6990) 0

2395 Total new obligations (-) (from line 1000) 0

2499 Unobligated balance carried forward, end of year 0

New Budgetary Authority (Gross), Detail

4026 Appropriation (trust fund, definite) (4114E + 4394E-B) 0

7000 Total new budget authority (gross) (4114E + 4394E-B) 0

Memorandum Entries

9201 Total investments, start of year (par) (1610B) 0

9202 Total investments, end of year (par) (1610E) 10,000
Scenario III

Trust Fund Receipts Available for Investment but not Obligation

III - 8 June 2001

Year 1 OMB Form and Content Statements

Balance Sheet

ASSETS

1A1 Fund Balance With Treasury (1010E) 2,000

1A4 Investments (1340E, 1610E, 1611E, 1613E) 9,500

LIABILITIES and NET POSITION

6B Cumulative Results of Operations (3310E) 11,500

Statement of Net Cost

1 Program Costs 0

1D Less Earned Revenue 03

4 Net Cost of Operations (calculation) 0

Statement of Changes in Net Position

1 Net Cost of Operations 0

2B Taxes (and other nonexchange revenue) (5310E, 5800E) 11,500

9 Net Position - End of Period (calculation) 11,500

 

3 For most trust funds, invested balances are derived predominantly from earmarked taxes and other non-exchange revenue. 

Accordingly, the interest earned is classified as non-exchange, thus not deducted from the gross cost of operations. For those 

trust funds, however, where the main source of balances consist of exchange revenue (e.g. Civil Service Retirement and 

Disability fund), the interest shall be classified as exchange, and thus deducted from the gross cost of operations. (See SFFAS 

#7, &306-308).
Scenario III

Trust Fund Receipts Available for Investment but not Obligation

III - 9 June 2001

Year 1 OMB Form and Content Statements (continued)

Statement of Budgetary Resources

1A Budget Authority - Appropriations (4114E, 4394E-B) 0

5 Total Budgetary Resources 0

6 Obligations Incurred 0

7B Unobligated - Exempt from Apportionment (4620E) 0

9 Total Status of Budgetary Resources 0 

10 Obligations Incurred (4902E) 0

Statement of Financing

1 Obligations and Nonbudgetary Resources 0

2 Resources That Do Not Fund Net Cost of Operations 0

3 Components of Costs of Operations That Do Not Require

or Generate Resources 0

4 Financing Sources Yet to be Provided 0

5 Net Cost of Operations 0
Scenario III

Trust Fund Receipts Available for Investment but not Obligation

III - 10 June 2001

Year 2

1. To record the collection of excise taxes from the public into an available trust fund receipt 

account. Because the trust fund is designated as available, the receipts are automatically 

credited to the corresponding expenditure account, so that they may be invested. Assume 

that the legislation for this trust fund states that receipts are not available for obligation 

until the next fiscal year. (TC A188)

Budgetary

4114 Appropriated Trust or Special Fund Receipts 7,000

4394 Receipts Not Available for Obligation Upon Collection 7,000

Proprietary

1010 Fund Balance With Treasury 7,000

5800 Tax Revenue Collected 7,000

2. The receipts are immediately invested in a U.S. Treasury Security issued by the Bureau of 

the Fiscal Service. The security has a par value of $7,000 and was purchased at a premium 

of $500. (OMB Circular A-34 requires that purchased premiums are to be recorded as a 

reduction of receipts.) (TC B126)

Budgetary

4394 Receipts Not Available for Obligation Upon Collection 500

4114 Appropriated Trust or Special Fund Receipts 500

Proprietary

1610 Investments in U.S. Treasury Securities Issued

by Fiscal Service 7,000

1612 Premium on U.S. Treasury Securities Issued

by Fiscal Service 500

1010 Fund Balance With Treasury 7,500
Scenario III

Trust Fund Receipts Available for Investment but not Obligation

III - 11 June 2001

Year 2

3. To record collection of interest on a prior year investment. The legislation states that 

interest on investments is not available for obligation.4 (TC A196)

Budgetary

4114 Appropriated Trust or Special Fund Receipts 1,000

4394 Receipts Not Available for Obligation Upon Collection 1,000

Proprietary

1010 Fund Balance With Treasury 1,000

1340 Interest Receivable 1,000

4. To record the portion of the prior-year=s receipts that become available for obligation, 

based upon conditions met in the legislation. Assume that this trust fund is not subject to 

apportionment.5 (TC A190)

Budgetary

4394 Receipts Not Available for Obligation Upon Collection 2,000

4620 Unobligated Funds Not Subject to Apportionment 2,000

Proprietary

None

5. To record the amortization of the discount and premium on the Treasury securities. (TC 

D510)

Budgetary

None

Proprietary

1613 Amortization of Discount and Premium on U.S. Treasury Securities

Issued by Fiscal Service 300

5310 Interest Revenue 300

5310 Interest Revenue 200

1613 Amortization of Discount and Premium on U.S. Treasury

Securities Issued by Fiscal Service 200

 

4 If the legislation defines investment interest as available, credit the appropriate USSGL status account (e.g. 4450, 4620) 

instead of 4394.

5 For trust funds subject to apportionment, refer to Section III - Accounting Transactions of TFM S2-01-02 (as updated) for 

additional transactions.
Scenario III

Trust Fund Receipts Available for Investment but not Obligation

III - 12 June 2001

Year 2

Budgetary Pre-Closing Adjusted Trial Balance (FACTS II ATB):

4114 7,500

4201 10,000

4394 15,500

4620 2,000

17,500 17,500

Budgetary Closing Entry:

C1. To record the consolidation of actual net-funded resources. (TC F204)

4201 Total Actual Resources - Collected 7,500

4114 Appropriated Trust or Special Fund Receipts 7,500

Budgetary Post-closing Trial Balance:

4201 17,500

4620 2,000

4394 15,500

17,500 17,500
Scenario III

Trust Fund Receipts Available for Investment but not Obligation

III - 13 June 2001

Year 2

Proprietary Pre-Closing Trial Balance (FACTS I Trial Balance):

1010 2,500

1610 17,000

1611 2,000

1612 500

1613 600

3310 11,500

5310 100

5800 7,000

20,600 20,600

Proprietary Closing Entry:

C1. To record the closing of revenues to cumulative results of operations. (TC F228)

5310 Interest Revenue 100

5800 Tax Revenue Collected 7,000

3310 Cumulative Results of Operations 7,100
Scenario III

Trust Fund Receipts Available for Investment but not Obligation

III - 14 June 2001

Year 2

Proprietary Post-Closing Trial Balance:

1010 2,500

1610 17,000

1611 2,000

1612 500

1613 600

3310 18,600

20,600 20,600
Scenario III

Trust Fund Receipts Available for Investment but not Obligation

III - 15 June 2001

Year 2

SF 133: Report on Budget Execution and Budgetary Resources (Quarter 4):

1A Appropriations (4114E) 7,500

 (4394E-B) (5,500)

2A Unobligated Balance Brought Forward (4201B) 10,000

 (4394B) (10,000)

7 Total Budgetary Resources 2,000

9. Unobligated Balances Available (4620E) 2,000

11 Total Status of Budgetary Resources 2,000

USSGL 2108: Year-end Closing Statement:

Column 5 Post-Closing Unexpended Balance (1010E) 2,500

Column 6 Other Authorizations (1610E) 17,000

 (1611E) (2,000)

Column 11 Unobligated Balance (4620E) 2,000

 (4394E) 15,500
Scenario III

Trust Fund Receipts Available for Investment but not Obligation

III - 16 June 2001

Year 2

Program and Financing Schedule (P&F):

Obligations by Program Activity

1000 Total new obligations (4902E) 0

Budgetary Resources Available for Obligation

2140 Unobligated balance available, start of year 0

2200 New budget authority(gross) (sum 4000 to 6990) 2,000

2395 Total new obligations (-) (from line 1000) 0

2499 Unobligated balance carried forward, end of year 2,000

New Budgetary Authority (Gross), Detail

4026 Appropriation (trust fund, definite) (4114E + 4394E-B) 2,000

7000 Total new budget authority (gross) (4114E + 4394E-B) 2,000

Memorandum Entries

9201 Total investments, start of year (par) (1610B) 10,000

9202 Total investments, end of year (par) (1610E) 17,000
Scenario III

Trust Fund Receipts Available for Investment but not Obligation

III - 17 June 2001

Year 2 OMB Form and Content Statements

Balance Sheet

ASSETS

1A1 Fund Balance With Treasury (1010E) 2,500

1A4 Investments (1610E, 1611E, 1612E, 1613E) 16,100

LIABILITIES and NET POSITION

6B Cumulative Results of Operations (3310E) 18,600

Statement of Net Cost

1 Program Costs 0

1D Less Earned Revenue 06

4 Net Cost of Operations (calculation) 0

Statement of Changes in Net Position

1 Net Cost of Operations 0

2B Taxes (and other nonexchange revenue) (5310E, 5800E) 7,100

7 Net Position - Beginning of Period (3310B) 11,500

9 Net Position - End of Period (calculation) 18,600

 

6 For most trust funds, invested balances are derived predominantly from earmarked taxes and other non-exchange revenue. 

Accordingly, the interest earned is classified as non-exchange, thus not deducted from the gross cost of operations. For those 

trust funds, however, where the main source of balances consist of exchange revenue (e.g. Civil Service Retirement and 

Disability fund), the interest shall be classified as exchange, and thus deducted from the gross cost of operations. (See SFFAS 

#7, &306-308).
Scenario III

Trust Fund Receipts Available for Investment but not Obligation

III - 18 June 2001

Year 2 OMB Form and Content Statements (continued)

Statement of Budgetary Resources

1A Budget Authority - Appropriations (4114E, 4394E-B) 2,000

5 Total Budgetary Resources 2,000

6 Obligations Incurred 0

7B Unobligated - Exempt from Apportionment (4620E) 2,000

9 Total Status of Budgetary Resources 2,000

10 Obligations Incurred (4902E) 0

Statement of Financing

5 Obligations and Nonbudgetary Resources 0

6 Resources That Do Not Fund Net Cost of Operations 0

3 Components of Costs of Operations That Do Not Require

or Generate Resources 0

7 Financing Sources Yet to be Provided 0

5 Net Cost of Operations 0